Sinotrans Group May Buy Dry-Bulk Ship Owners to Expand Commodities Fleet
Sinotrans Group, China’s third- biggest shipping company, may buy overseas dry-bulk vessel owners as the rebounding global economy spurs demand for commodity shipments.
The company has talked to at least five shipowners in southeast Asia and the Middle East since last year, Li Zhen, assistant president of Sinotrans & CSC Holdings Co., said today in an interview at a conference in Tokyo. The group is also looking to acquire logistics companies worldwide, he said.
Pacific Basin Shipping Ltd. and China Shipping Group Co. have already expanded their fleets this year as Chinese growth drives demand for shipments of coal and iron ore. The Baltic Dry Index, a measure of global shipping rates, has jumped 61 percent in the past year.
Sinotrans Group is the parent of Sinotrans Shipping Ltd. and Sinotrans Ltd., which are both listed in Hong Kong. China Ocean Shipping (Group) Co. and China Shipping are the nation’s largest shipping groups.
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